Emerging Power Node

Panama Switch

Panama Canal, Panama

Legendary · held by 209 collectors

The Panama Canal cuts 77 kilometres across the Isthmus of Panama, connecting the Atlantic and Pacific Oceans and saving vessels the 20,000-kilometre Cape Horn circumnavigation. The 2016 expansion — the third set of locks — doubled the canal's capacity, permitting New Panamax vessels of up to 14,000 TEU to transit, compared to the original 5,000 TEU Panamax limit. Approximately 6% of global maritime trade transits the canal annually; for US East Coast trade with Asia, the proportion exceeds 40%. The canal generates USD 4.5 billion in annual revenue for the Panamanian state — the primary source of government income. Unlike Suez, which faces Red Sea geopolitical risk, Panama's vulnerability is climatic: a prolonged drought in 2023–2024 reduced Gatun Lake water levels, forcing draft restrictions that cut daily transits from 36 to 22 vessels and created a queue of 200 ships. The canal runs on rainwater.

panama · canal · chokepoint · americas